Labor poverty increases in Mexico; reaches 39.4% of the population in the first quarter: Coneval
According to information from INEGI, this means that working poverty increased in 26 of the 32 states of the country
The country’s working poverty increased 3.8 percent at the national level during the pandemic, going from 35.6 percent in the first quarter of 2020 to 39.4 percent in the same period of 2021, said the National Council for the Evaluation of the Policy of Social Development (Coneval).
According to information from the National Institute of Statistics and Geography (INEGI), this means that working poverty increased in 26 of the 32 states of the country, highlighting Mexico City, Quintana Roo, and Baja California Sur with increases of 14.9; 10.1, and 8.3 points, respectively.
Among the factors that explain this increase is a 4.8 percent decrease in real labor income and an increase in the extreme poverty lines by income, that is, the value of the food basket, which was 3.7 percent in urban areas. and 4 percent in rural areas.
Regarding the decrease in average real labor income, Coneval pointed out that this decreased by 40.8 and 11.5 percent during the first and second income quintiles, while this decrease was only 1.5 percent in the population with the highest income.
“This resulted in an increase in labor income inequality, which, measured from the Gini coefficient, which went from 0.490 to 0.512 in the same period,” while the income gap between men and women was 856.54 pesos. , pointed out the Coneval.